« previous next »

Author Question: What is the core inflation rate and how does it differ from the overall CPI inflation rate? What ... (Read 100 times)

wrbasek0

  • Hero Member
  • *****
  • Posts: 560
on: Jun 29, 2018
What is the core inflation rate and how does it differ from the overall CPI inflation rate?
 
  What will be an ideal response?

Question 2

One of the most widely followed stock indexes in the United States is the S&P 500. This index represents
 
  A) the stock prices of the 500 most valuable firms worldwide.
  B) the stock prices of more than 4,000 U.S. firms.
  C) the stock prices of 500 large U.S. firms.
  D) the stock prices of 30 large U.S. corporations.


cassie_ragen

  • Sr. Member
  • ****
  • Posts: 347
Reply #1 on: Jun 29, 2018
Answer to Question 1

The core inflation rate is the rate of increase in the core PCE deflator. The core PCE deflator is the personal consumption expenditure deflator excluding food and fuel The Federal Reserve believes that food and fuel prices are more volatile than other prices and largely respond to factors other than the state of inflation in the general economy. Accordingly, the core inflation rate is smoother, that is, less volatile than the actual inflation rate.

Answer to Question 2

C


Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
« previous next »
 

Did you know?

In most cases, kidneys can recover from almost complete loss of function, such as in acute kidney (renal) failure.

Did you know?

The newest statin drug, rosuvastatin, has been called a superstatin because it appears to reduce LDL cholesterol to a greater degree than the other approved statin drugs.

Did you know?

The human body produces and destroys 15 million blood cells every second.

Did you know?

All adults should have their cholesterol levels checked once every 5 years. During 2009–2010, 69.4% of Americans age 20 and older reported having their cholesterol checked within the last five years.

Did you know?

There are more sensory neurons in the tongue than in any other part of the body.

Tree species richness in North America is correlated with evapotranspiration rate. Tree species richness in North America is correlated with evapotranspiration rate.
A Glitch Interrupts the Vela Pulsar’s Spindown Rate A Glitch Interrupts the Vela Pulsar’s Spindown Rate
The crania, and especially the faces of KNM-ER 1813 and 1470, differ enough that some scientists inc The crania, and especially the faces of KNM-ER 1813 and 1470, differ enough that some scientists inc
Spring force, crankcase pressure, and intake manifold vacuum work together to regulate the flow rate ... Spring force, crankcase pressure, and intake manifold vacuum work together to regulate the flow rate ...
Catalytic core of sirtuins is evolutionarily conserved Catalytic core of sirtuins is evolutionarily conserved
Outgroup role in relative rate test Outgroup role in relative rate test
Video: Mutations and translation

For a complete list of videos, visit our video library